India, UAE to Renegotiate Trade Deal This Week

DUBAI/NEW DELHI – Indian and Emirati officials are expected to renegotiate their trade deal this week amid concerns raised by Indian industry over precious metals imports from the United Arab Emirates, people familiar with the matter said.

India and UAE signed the Comprehensive Economic Partnership Agreement in 2022 after 88 days of talks. The deal has become a template for similar trade deals the UAE has signed with many other countries.

An Indian government official, speaking on condition of anonymity, said the deal will be reviewed this week when a UAE government delegation led by Abu Dhabi Crown Prince Sheikh Khalid bin Mohammed Al Nahyan visits Mumbai and New Delhi.

A second source confirming the review, an Indian government official, downplayed the importance of the discussion and said the reviews were sporadic.

India’s commerce ministry and the UAE’s economy ministry did not respond to Reuters requests for comment on the review.

Indian officials have said they want New Delhi to review the deal.

Sheikh Khalid, son of UAE President Sheikh Mohammed bin Zayed, is unlikely to participate in the trade review, sources said.

The Crown Prince, who is also his country’s Deputy National Security Adviser, will arrive in India on Sunday, Abu Dhabi’s Government Media Office announced on Saturday.

Sources said the trade review has been prompted in part by complaints among Indian industry about a significant increase in precious metal imports from the UAE.

India is one of the UAE’s largest trading partners, and Indian nationals constitute a larger community than Emiratis in the Gulf state. Many people work in sectors that are the backbone of the economy.

The trade agreement entered into force in May 2022.